Experienced Farmington Hills Business Formation Lawyer
Last updated on June 5, 2026
Choose Your Launch Path
Launching Solo
Forming an LLC or Corporation to secure your personal assets.
Multi-Owner Partnerships
Structuring custom internal governance to protect multiple stakeholders.
Embarking on a new business venture is exciting. However, selecting the right entity structure for your new company is critical for success. Strategically, you should choose a framework that protects you from liability, has tax benefits and projects professionalism.
At Brown Borkowski & Morrow, we provide comprehensive legal entity formation services for entrepreneurs and startups. Our business formation lawyers assist clients in Farmington Hills, Detroit and throughout the state of Michigan. Whether you need an LLC, S Corpation or a C Corporation, our startup lawyers advise you on how to maximize personal liability protection, tax efficiency and regulatory compliance with the Michigan Department of Licensing and Regulatory Affairs (LARA).
To discuss your new business venture with a Farmington Hills, Michigan entity formation lawyer, call our offices today at 888-757-1681 or send us an inquiry using our online form.
Why Should You Hire Us For Your Business Formation In Farmington Hills, Michigan?
Choosing the right legal team is the most important decision you will make for your new company. At Brown Borkowski & Morrow, our Farmington Hills business formation lawyers bring decades of experience to the table. We have helped countless entrepreneurs in the Detroit and Farmington Hills areas turn their visions into thriving realities. Our attorneys understand the local business landscape because we are part of it.
We do not offer “cookie-cutter” solutions. Instead, we offer a high level of skill combined with a responsive, hands-on approach. Several of our partners hold AV Preeminent* ratings from Martindale-Hubbell. This is the highest possible rating for legal ability and ethical standards. Our firm also features Michigan Super Lawyers, a title given to only the top attorneys in the state.
We pride ourselves on being more than just legal technicians. We are counselors who care about your future. Our history of success and our commitment to the community set us apart from large, impersonal firms. When you hire us, you gain a dedicated advocate who will stand by you from the day you open your doors through every stage of your company’s growth.
Why Proper Entity Selection Matters For Your Michigan Business
Selecting the right legal foundation is the most critical step in protecting your personal assets from business debts and litigation. Some of the most common business entities include:
- Corporation: In the eyes of the law, a corporation functions similarly to a person in the eyes of the law. A corporation provides safety for its owners. It offers them limited debt liability and protects them from personal responsibility for company debts.
- Limited Liability Company (LLC): An LLC is similar to a corporation but grants a greater degree of personal protection from liability for its members. While an LLC limits personal liability, it is taxed similarly to a partnership. A limited liability company is also relatively easy to operate compared to corporations.
- Partnership: A partnership represents a legal agreement between two people to operate a business, split profits and share responsibility for liabilities. Unlike a corporation or an LLC, each member of a partnership is personally liable for debts incurred. However, a partnership could have more tax benefits than a corporation.
- Sole proprietorship: A sole proprietorship is the simplest business structure. In a sole proprietorship, your personal and business finances aren’t separate, but it offers tax benefits you wouldn’t usually have.
Our Farmington Hills business formation attorneys provide individualized guidance to evaluate the best entity structure for your startup. In addition, we will help you draft essential governing documents, such as operating agreements and bylaws. We will also make sure your business is properly registered with a Registered Agent and assigned a federal EIN.
What Is An LLC Operating Agreement And Why Is It Essential?
If you choose an LLC as the foundation for your new Michigan venture, your most important internal building block will be your operating agreement. This official document establishes the financial framework and operational policies that regulate your daily business. It serves as the definitive roadmap that all members must follow to prevent future financial and legal disputes.
When drafting a Michigan LLC operating agreement, our business attorneys ensure it addresses critical provisions, including:
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Member Roles and Capital Contributions: Clearly defining who puts in what assets and who is responsible for daily operations.
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Distributions and Losses: Establishing exactly how profits and financial liabilities are shared among partners.
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Voting Rights and Decision-Making: Outlining the protocols for resolving business deadlocks or major operational shifts.
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Buyout and Dissolution Rules: Planning in advance for what happens if a partner chooses to leave, passes away, or if the business closes.
The Hidden Danger of “Handshake” Agreements
Even if you and your partners have agreed to terms verbally, these rules must be ratified in a legally binding, written contract. In a crisis, you cannot take a dispute over a handshake deal or a verbal understanding to court.
An official, signed operating agreement binds all members to the terms outlined within it. Any future amendments can only occur when a formal majority or all parties agree to do so in writing. The more concrete and precise your written agreement is, the safer your personal wealth and your company’s future will be.
Our corporate team ensures your internal agreements protect your equity. Shareholder Matt Morrow utilizes multi-year recognition from Best Lawyers: Ones to Watch® in Corporate Governance and Compliance Law to safeguard your operational control.
What Are The Different Types Of Corporations?
When setting up a corporation, there are many different subtypes of corporations. These include:
- C Corp
- S Corp
- B Corp
- Close corporation
- Nonprofit corporation
- Cooperative
Each type of corporation provides unique benefits to a business and operates differently. For example, the tax structure of a C corporation provides incentives for profits to be reinvested in the business. It can also attract investors, allowing for high growth potential.
Deciding Between An LLC And An S Corp: Which Structure Minimizes Michigan Tax Liability?
Deciding between a Limited Liability Company (LLC) and an S Corporation (S Corp) depends on how you want to handle taxes and profits. An LLC is a flexible structure that protects personal assets from business debts. By default, the IRS treats an LLC as a “pass-through” entity, meaning profits go directly to owners without being taxed at the corporate level. Choosing the tax designation of an S Corp also uses pass-through taxation. However, it also allows owners to be treated as employees. This can lead to significant savings on self-employment taxes because you only pay those taxes on your salary, not on the total business profit.
Both elections have pros and cons, including:
| Pros | Cons |
| An LLC is simple to set up and maintain with fewer record-keeping requirements. | In an LLC, owners must pay self-employment taxes on the entire net income of the business. |
| An LLC offers great flexibility in how you manage the company. | With an LLC, it may be harder to attract certain investors compared to a corporation. |
| An S corporation offers opportunities to reduce self-employment tax liability because income can be divided between salary and distributions. | However, there are strict IRS rules that limit the number and type of shareholders you can have in an S Corp. |
| S corporations offer the same limited liability protection as an LLC or C Corp. | An S corp requires more formal administrative tasks, such as running payroll and holding board meetings. |
While an LLC is often easier for new small businesses, an S Corp can offer better tax savings as your profits grow. We help you look at your projected income to decide which path saves you the most money.
When Are Legal Services Necessary For The Formation Of A Business?
Many people believe they can handle business formation alone using online templates. However, these forms often miss the specific nuances of Michigan law. Hiring a business formation attorney ensures your documents actually do what you need them to do during a crisis. Legal services become necessary when you need to define the relationships between partners or protect your personal wealth from professional risks.
The Long-Term Benefits Of Hiring A Business Formation Attorney
An initial investment in a business attorney at the earliest stages of your company brings long-term benefits. Seeking legal guidance for your startup’s entity formation will:
- Ensure that your business entity will support your business goals
- Ensure that your business is established legally according to Michigan laws
- Establishes a lasting partnership for future legal guidance
At Brown Borkowski & Morrow, our Farmington Hills business attorneys regularly advise our corporate clients on all aspects of running a business. From contract negotiations or disputes to evaluating a commercial lease agreement, your company will have future legal needs. Our corporate lawyers counsel clients on all aspects of business law. Establishing a relationship with a business attorney provides you with a valuable resource for future issues.
How Can Brown Borkowski & Morrow Help You With Your Business Formation?
When you start a new business in Michigan, you must choose a structure that protects your assets and allows for growth. We guide you through every step of this process to ensure your company has a solid legal foundation. Our Farmington Hills business formation lawyers help clients throughout Michigan by:
- Drafting custom operating agreements: An operating agreement establishes rules for how to resolve deadlocks or what happens if a partner leaves.
- Asset protection: Our experienced corporate lawyers can ensure your business is truly separate so your house and savings remain safe.
- Regulatory compliance: We help you navigate local and state permits required for your specific industry.
- Contract review: Our contract attorneys can analyze leases and vendor agreements before you sign them to prevent future lawsuits.
- Avoiding costly errors: We make sure you file the right paperwork the first time to avoid fines or delays.
Investing in legal help today prevents expensive disputes tomorrow. We provide the clarity you need to launch your venture with confidence. Our attorneys take the guesswork out of the formation process. As your strategic partner, we do more than just file papers with the state. Our lawyers listen to your goals and help you build a framework that supports long-term success. A Farmington Hills business formation attorney from Brown Borkowski & Morrow can ensure the entity you choose works for your business and puts you closer to reaching your goals.
Talk To Our Farmington Hills Business Formation Lawyers Today
Our attorneys are here to help you explore the different business structures and form the correct entity for you. To get started, contact us to schedule a free consultation. You can reach our firm at 888-757-1681 or submit an appointment request form online.
*AV®, AV Preeminent®, Martindale-Hubbell Distinguished and Martindale-Hubbell Notable are certification marks used under license in accordance with the Martindale-Hubbell certification procedures, standards and policies. Martindale-Hubbell® is the facilitator of a peer-review rating process. Ratings reflect the anonymous opinions of members of the bar and the judiciary. Martindale-Hubbell® Peer Review Ratings™ fall into two categories – legal ability and general ethical standards.
